R.E.P.S and F.E.P.S

• Through the introduction of the F.E.P.S scheme, Forestry and R.E.P.S are now compatible.
• There is no penalty for diverting land from R.E.P.S into forestry.

R.E.P.S 4 Payment Rates and FEPS payment rates

• Farmers in REPS who plant can avail of the FEPS payments in place of the REPS payments
• The F.E.P.S payments are Tax-Free whereas the R.E.P.S payments are taxable
• The F.E.P.S payments are in addition to the afforestation premium which is on average 500/Ha
• The option of availing of forestry premiums on land that is attracting small R.E.P.S payments should be considered.
• A minimum planting area applies for entry into the FEPS scheme

• For farmers with a total farm area of less than 30 hectares, a minimum of 5 ha must be planted to enter the FEPS scheme.
• For farmers with a total farm area of greater than 30 hectares, a minimum of 8 ha must be planted to enter the FEPS scheme

A reduced payment of €150/ha applies to farmers that plant the minimum of 5 hectares.

Area Based Compensatory Allowance.

• Maximum payment on 34 Hectares
• Payment rates

• 96/ha in severely disadvantaged areas
• 82/ha in less severely disadvantaged areas
• 109.71/ha on first 10 ha in mountain type grazing areas, with 96/ha on the remainder

This payment should be taken into account when preparing the overall farm plan.

Single Farm Payment

• Landowners can plant forestry and retain their full single payment.  This is provided that the land being planted was declared on a single farm payment application in 2008.
• Forestry Services ltd. advise farmers to retain a minimum of 4 hectares in conventional agricultural production if considering planting the majority of their farms
• Planted land must be declared on the Single Farm Payment application form each year
• Forestry Services ltd. will provide a map of the area planted to complete the Single Farm Payment application.

Early Retirement Scheme

• Many farmers that entered the Early retirement scheme from farming are now exiting the scheme as the 10 year payment run is over or reaching its end.
• Forestry is an option for the families of such retired farmers, as the applicant under the Early Retirement Scheme will not qualify for the farmer rate of annual tax-free forestry payments.  Family members may qualify for the farmer rate of premium.
• The family member applying for the forestry payments does not have to be the owner of the land
• This is a better option than the continued leasing of land to a third party.